A few observations about everyone’s favorite parabolic stock, AAPL:
- So far today, Apple has added $15 billion to its market cap
- The Apple 530 calls, set to expire this Friday, jumped from $0.70 to $5.20 — a 742% return — this morning
- That same call has now fallen by 60% in early afternoon trading
- 90% of today’s intraday NASDAQ return is the result of Apple
- The S&P 500’s 4Q earnings growth was 11.6%. The S&P 499’s 4Q earnings growth (if you pull Apple out of the index) was 2.7%.
- Thanks largely to Apple, the NASDAQ is outperforming the Dow Jones Industrial Average by about 7% year-to-date
Now, I would never be one to provide investment advice on a blog, as the regulators tend to frown upon such behavior. Feel free to draw your own conclusions.
The juxtaposition of this phenomenon vis’ a vis’ Europe (specifically Greece) would be funny if it weren’t so sad.
Here’s a few stats about the state of Greece’s population, from Germany’s Der Spiegel:
- Homelessness in Athens is up 20% year-over-year
- People requiring free food (mostly soup and bread) is up 15% year-over-year
- Suicide rates have doubled year-over-year (6 suicides per 100, 000)
- Greece’s economy contracted 7% in 4Q
- Their economy has now contracted 16% from its peak
If those bullet-points aren’t startling enough, this slide show is certainly an attention-getter (copy and paste in your browser to view):
http://www.spiegel.de/international/europe/0, 1518, 814864, 00.html
It strikes me that the OWS crowd is in the right church, but in the wrong pew. Income disparity is a tremendous problem. But it isn’t the 99% versus the 1% here in the U.S. It is a global phenomenon that is becoming increasingly desperate and violent. If governments don’t come to grips with this soon (and not by implementing further socialist programs), I suspect that social unrest will be the next tail risk affecting the markets.
After-the-close addendum: The option I mentioned earlier that was up over 700% this morning closed the day at a 50% loss from yesterday’s close. After reaching $5.20 during the day, it closed at $0.35. Makes sense.